Segments
In accordance with ASC 280, Segment Reporting, the Company evaluates its operating segments to determine how to report its financial performance. Operating segments are defined as components of an enterprise for which discrete financial information is available that is evaluated regularly by the Chief Operating Decision Maker (“CODM”) for the purposes of allocating resources and evaluating financial performance. The Company’s CODM is the chief executive officer, who reviews financial information on a consolidated level for purposes of allocating resources and evaluating financial performance, and as such, the Company’s operations constitute one operating segment and one reportable segment.
The principal financial metric reviewed by the CODM on a monthly basis is consolidated net income. This metric is compared to prior periods and to the Company’s internal forecasts and budgets for the purposes of allocating resources and evaluating financial performance.
The following table presents a disaggregation of the Company’s consolidated net income:
| | | | | | | | | | | | | | | | | |
| Year Ended December 31, |
| (in millions) | 2025 | | 2024 | | 2023 |
| Payments-based revenue | $ | 3,471 | | | $ | 2,990 | | | $ | 2,386 | |
| TFS revenue | 255 | | | — | | | — | |
| Subscription and other revenue | 454 | | | 341 | | | 179 | |
| Network fees* | (2,199) | | | (1,976) | | | (1,624) | |
| Other costs of sales* (exclusive of depreciation of equipment under lease) | (553) | | | (382) | | | (253) | |
| General and administrative expenses: | | | | | |
| Employee and other general and administrative expenses* | (554) | | | (368) | | | (251) | |
| Equity-based compensation* | (85) | | | (68) | | | (59) | |
| Rent, office, occupancy and equipment expenses* | (43) | | | (23) | | | (19) | |
| Revaluation of contingent liabilities | 4 | | | (4) | | | (23) | |
| Depreciation and amortization expense* (a) | (290) | | | (200) | | | (154) | |
| Professional expenses* | (87) | | | (41) | | | (33) | |
| Advertising and marketing expenses* | (32) | | | (22) | | | (15) | |
| Gain on sale of subsidiaries | 19 | | | — | | | — | |
| Impairment of intangible assets | (9) | | | — | | | (19) | |
| Loss on extinguishment of debt | (12) | | | — | | | — | |
| Interest income | 59 | | | 34 | | | 32 | |
| Other income (expense), net | (9) | | | 2 | | | (4) | |
| Realized and unrealized gain on investments in securities | — | | | 67 | | | 12 | |
| Change in TRA liability | (4) | | | (289) | | | (3) | |
| Interest expense* | (190) | | | (62) | | | (32) | |
| Income tax benefit (expense) | (48) | | | 296 | | | 3 | |
| Net income | $ | 147 | | | $ | 295 | | | $ | 123 | |
* Denotes a significant segment expense reviewed by the CODM.
(a)Depreciation and amortization expense includes depreciation of equipment under lease of $74 million, $54 million, and $35 million for the years ended December 31, 2025, 2024, and 2023, respectively.
Geographical Information
The following table presents a disaggregation of the Company’s revenue by geography:
| | | | | | | | | | | | | | | | | |
| Year Ended December 31, |
| (in millions) | 2025 | | 2024 | | 2023 |
| U.S. | $ | 3,312 | | | $ | 2,911 | | | $ | 2,464 | |
| International | 868 | | | 420 | | | 101 | |
| Gross revenue | $ | 4,180 | | | $ | 3,331 | | | $ | 2,565 | |
The following table summarizes long-lived assets based on geography, which consist of Equipment for lease, net, Property, plant and equipment, net, and ROU assets:
| | | | | | | | | | | | | | | | | |
| As of December 31, |
| (in millions) | 2025 | | 2024 | | 2023 |
| U.S. | $ | 254 | | | $ | 205 | | | $ | 169 | |
| International | 88 | | | 24 | | | 5 | |
| Total long-lived assets | $ | 342 | | | $ | 229 | | | $ | 174 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.